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Exclusive

Goodbye to Far West?: New law regulates online gambling in Chile

Viernes 14 de Junio 2024 / 12:00

2 minutos de lectura

(Exclusive, SoloAzar) .-In December 2023, Chile experienced a significant change in the online gambling landscape with the approval of a new law requiring all online casinos operating in the country to register with the Superintendence of Gaming Casinos (SCJ). This change, which will take some time to implement, marks a turning point in the regulation of the sector and seeks to strengthen supervision and control over this growing industry.

Goodbye to Far West?: New law regulates online gambling in Chile

The rise of online casinos in recent years has been notable in Chile, with an exponential increase in the number of gaming platforms available to users. However, this expansion also brought with it concerns about transparency, player safety, and tax collection. Before the new law, the lack of specific regulation for online casinos allowed many platforms to operate without any type of control, which generated significant risks for consumers and the State.

The main objective of the new law is to guarantee a safe and fair gaming environment for Chilean users, as well as to ensure that the State receives the corresponding taxes for the operation of these services. The legislation establishes that all online casino platforms must register and obtain a license from the SCJ that regulates the 25 Chilean physical casinos to operate legally in the country.

Registration and Licensing Requirements

According to the new regulations, online casino operators must meet several requirements to obtain their license. These include:

1. Financial Transparency: Operators must demonstrate financial solvency and present audited financial reports.

2. Security and Data Protection: Platforms are required to implement robust measures to protect users' personal and financial information.

3. Responsible Gambling: Operators must promote responsible gambling practices, including the implementation of mechanisms to prevent compulsive gambling and self-exclusion of players.

4. Taxes and Fees: Platforms must be up to date with the payment of taxes and contribute a specific fee intended for the prevention and treatment of gambling addiction.

Impact on the Sector

The implementation of this law will have several effects on the online gambling sector in Chile: Professionalization and Consolidation of the Market: The new law tends to professionalize the market, since only platforms that can comply with the strict requirements of the SCJ will be able to operate. This could lead to a consolidation of the sector, where only the largest companies with greater compliance capacity can remain in the market.

Greater Protection for Players: With proper regulation, players will have greater security and protection when using online casino platforms. Mandatory security and responsible gaming measures will help mitigate the risks associated with online gaming.

Increase in Tax Collection: The registration and licensing of online casinos will allow the Chilean State to collect more taxes, which can be allocated to various areas such as health, education and gambling prevention programs.

Challenges to Implementation: Despite the anticipated benefits, implementation of the new law will not be without challenges. Authorities must ensure an effective monitoring system to identify and sanction unregistered platforms that operate illegally. Additionally, an awareness campaign is needed to educate consumers about legal online casinos and the risks of using unregulated platforms.

Sector Reactions and Future of Regulation

The reaction from online casino operators has been mixed. While some large companies have welcomed the new law and are in the process of complying with the requirements, others, especially smaller ones, have expressed concerns about the costs and bureaucracy associated with registration and licensing and paying new taxes.

It should be mentioned that this legislation will take some time to be definitively implemented. In the long term, it is expected that this law will be a first step towards a more comprehensive regulation of all aspects of online gambling in Chile. Experts suggest that future legislation could be introduced to address complementary areas such as sports betting and other online gambling. The SCJ's role in online casinos will be similar to that of the UKGC in the United Kingdom, which regulates British online casinos.

In conclusion, the new law regulating online casinos in Chile represents significant progress towards a safer, more transparent and controlled market. Although the transition will bring challenges, the anticipated benefits for players and the State promise a more orderly and fair future for the online gaming sector in the country.

Categoría:Exclusive

Tags: online gaming, Casino Online,

País: Chile

Región: Sudamérica

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